Digjam, Holland & Sherry float JV

A 51:49 joint venture with Scotland-based premium fabric maker Holland and Sherry for distribution of their products, a top company official said todayCHENNAI: Textile firm Digjam has formed a 51:49 joint venture with Scotland-based premium fabric maker Holland and Sherry for distribution of their products, a top company official said today.

"We recently got the government approval for the new company. There will be two persons each from Digjam Ltd and Holland and Sherry on the Board for the newly formed company", Digjam Managing Director and Chief Executive Officer C Baskar told reporters here.

The JV has been named Holland and Sherry India Pvt Ltd.

Baskar said the company would distribute Holland and Sherry premium products in the country.

"Earlier, we were selling their products after buying it from them. Now, we will be directly selling Holland and Sherry products in India. Also, we will utilise their network to distribute our product", he said.

To a query, he did not rule out the possibility of making certain products for Holland and Sherry from Digjam's facility at Jamnagar, Gujarat, which has an annual capacity of five million metres of clothes.

"They may use Digjam facility or some other manufacturing facility. We are still in the early stages of the joint venture".

Baskar and senior company officials were here to launch the latest winter collection.

Responding to a query, Baskar said Digjam Ltd expects to register a turnover of Rs 160 crore in 2015-16.

"Last year there has been fluctuation in our revenues due to situation in United States and Europe. It was around Rs 130 crore. This (financial) year we are expecting Rs 160 crore".

Fifty per cent of the company's revenue was from overseas market, he said.